Author Archives: Alberta Gresham

Business Loans in the Current Account Ranking

We scan overdraft loans for micro and small companies. The best bank loans in the current account are provided by Crediter, Lorota Bank and CreditCole.

We asked the banks how they would grant a current account loan to a company that has annual turnover above PLN 1 million and has been operating on the market for over two years. We took a look at the four cost parameters associated with granting the loan: the bank’s margin, commissions for granting and renewing the loan, and a commission for readiness. We assumed that the company is developing dynamically and meets all the requirements of a given bank. According to our parameters, the best loan is currently offered by Bank Crediter, which received 13.88 points out of 16 possible. In second place is Lorota Bank with 13.2 points, and the third – CreditCole, which scored 12.8 points.

company loans in the current account

Where’s the cheapest?

Bank Crediter offers a loan in an account called Spresks Line, the bank’s margin starts from 1.99 percentage points, the bank does not charge a loan, but 2.4 percent. annually is the commission for readiness, i.e. on unused credit. The commission for renewing the credit line is 1.49 percent. the amount credited. In a bank, a company can apply for up to 500,000. loan amount. Lorota Bank does not charge a fee for readiness, the commission for both granting the loan and its renewal starts from 0.25 percent, and the bank’s margin from 4.5 percent.

CreditCole also has no fee for unused credit, the commission for its granting amounts to 1.5%, and for its renewal from 1.25, the bank’s margin starts from 4 percentage points. In a bank, a company can get a loan of up to 400,000.

Check costs

The interest rate on the overdraft facility is based on the NetBor (usually 1- or 3-month) rate and the negotiated margin. The average margin charged by banks is 4 percentage points. The margin in Idea Bank is 0 percentage points, but the bank charges 7.99 percent. commission for granting the loan and its renewal. Three of the banks included in the list do not charge any fees for granting loans: Crediter, Bank Peskor and s-bank. Most banks, however, charge a commission of 1.5%. amount of debt. Another cost related to the use of the credit line is the commission for renewing the loan. In many banks, it is the same as the fee for granting loans. In some banks it is much lower than the commission for granting the loan, for example in Bank Millennial or CreditCole. And in some of the opposite – the company will pay more for renewing the loan than its launch. This is the case, for example, in all banks that do not charge a fee for granting a loan: Crediter, Bank Peskor SA or s-bank. An additional charge for the credit on the current account is the payment for readiness, i.e. commissions for the unused loan amount. Its cost is about 0.2 percent. on a monthly basis. This fee does not charge 6 out of 17 listed banks.

Important creditworthiness

The overdraft facility is granted for 12 months with the possibility of a prolongation for the next 12 months, provided that the company shows creditworthiness at a similar level as in the year of signing the contract, and the loan service was correct. The bank may terminate the contract with a company that has violated the bank’s regulations, and also if it has been entered into the database debtors list. If the contract is not signed for the next period, the company must repay the entire debt on the day the contract expires. Depending on the financial situation, the company may apply for a reduction or increase in the loan amount. Banks charge an additional fee related to the change of terms of the contract.

In most banks, a company transferring an account from one bank to another can basically get a loan on hand based on the account history of the transferred bank. Only at Lorota Bank will the loan be granted after 6 months from the transfer of the account.

The amount of credit depends on the company’s creditworthiness, but some banks set the upper limit for such loans. In s-bank and Crediter, it is PLN 500,000 PLN 400 thousand in CreditCole, and in Santander Consumer 300 thousand.. At Bank Peskor SA, the loan amount may not exceed 20%. the sum of sales revenues for the last financial year, and the BPS Bank is 25 percent. annual company revenues. In SGB Bank, this amount can not be more than twice the average monthly income on current accounts for the last 12 months and 20 per cent. revenues for the last full year (conditions must be met simultaneously).

company loans in the current account

The loan is most often granted for 12 months, with the possibility of multiple renewals. Fig. Adobe Stock

The final form of the loan agreement with the bank is an individual matter of the entrepreneur and the bank. It is worth negotiating both interest rates and commissions in banks.

A revolving loan in a current account can be used for any purpose, but the bank offers other loans. Banks offer entrepreneurs various forms of financing depending on their needs. To finance investments in banks, you can apply for an investment loan, a working capital loan is used to finance the current operations of the enterprise, and payment credits are a short-term loan granted to the company in order to maintain financial liquidity.

Technological credit is granted for the development of production technology. If the company implements a project for which subsidies have been granted, it can apply for loans in the bank until the reimbursement is obtained. Banks offer various preferential loans with subsidies, the entrepreneur may also apply for a mortgage. Most credit parameters are a matter of agreement between a bank and an entrepreneur.

How our ranking is made

Banks could get a maximum of 16 points. The points were granted linearly, ie the bank with the lowest interest rate received the highest number of points (in this case 17 points), but if the banks had the same parameters, they received the same number of points, and the next bank by 1 point less. Then each weight was given weight. In the ranking we have included:

– bank’s margins – maximum 5 points

– commissions for granting a loan – maximum 5 points

– commissions for readiness – maximum 3 points

– commissions for renewing the loan – maximum 3 points

If the banks did not provide the given parameter or the answer was supplemented by the “contract”, we took median (the center value) resulting from the given parameter for calculations for the purposes of the ranking.

Expert opinion

Joanna Brzostek senior, manager in the business financing team at Bank Crediter

Microenterprises play an extremely important role in the economy. These types of companies make up the vast majority of all enterprises. Their efficient functioning on the market and the development of the company requires appropriate financing methods. They use their own funds and financing from external sources, for example from banks, to run their own business. Considering the size of such a company or the susceptibility to change, a large part of them is not able to find the necessary resources for proper functioning and development.

The way to solve these problems is to obtain external sources of financing. Undoubtedly, the most common source of financing for companies is taking out a bank loan. Deciding to finance in this form, one must take into account the need to meet various requirements set by banks that are testing the creditworthiness of the client. Such companies more and more often can count on an individual approach and receive offers tailored to their needs. However, before we decide on a specific loan, it is important to carefully analyze the company’s flows and to examine the demand for cash. If we take into account the purpose of the loan, we can talk about:

– revolving loans related to the financing of the borrower’s current business operations, such as a bank overdraft, non-revolving cash;

– investment loans for specific investment projects.

Banks, offering loans, not only try to propose an optimal loan period and amount for the company, but more and more often offer promotional, favorable price conditions to a wider group of customers that will help optimize the company’s operating costs.

Such an approach from the banks certainly facilitates the process of receiving financing and at the same time creates micro-enterprises conditions ensuring continuation of their operations and its development.

Advantage and inconvenience of real estate credit

Unmarried couples and pacsés know it, indivision in the acquisition of a property is not what is necessarily the most desirable. With statutes validated by the public finance center of the head office on which your Civil Real Estate Company depends and since 2014 by sending documents and statutes to the Registry of the Commercial Court, you can make financial arrangements to buy several without justify a relationship. This system  is an advantageous solution to avoid blockages that may arise from indivision , ensures a transfer of shares with a tax benefit and can also be a great protection against personal creditors as we will see in this article.

  1. Advantages and disadvantages of a real estate loan
  2. XYZ current account to finance the repayment
  3. Transmission of property is a succession benefit

The matrimonial regime and the loan do not have any more relation as well as the principles of the common indivision. It is the XYZ that borrows and it is therefore she who bears the debt first. The natural persons who constitute it stand surety for this debt and the bank will therefore be interested in the indebtedness of each natural person to grant or not the loan.

As a manager of an XYZ and to ensure the success of the operation, you are strongly advised not to bring the XYZ into deficit because the bank does not like this type of situation. This is why, during the financial package, we first of all observe to what extent the rent (s) covers (s) the monthly repayments of the credit contracted.

If your XYZ is subject to the IR (Income Tax), the partners will be able to fill the gap. If the XYZ is subject to the IS (Corporate Tax), a bank will want more balance of accounts and may require a written commitment by the partners for reimbursement.

WCR (working capital requirement) including potential delays in the payment of rent. An XYZ remains a full-fledged company requiring cash requirements for its operation and generating a turnover related to rents that may vary (although elements of economic stability enter the balance of decision, especially for the banker ).

Be careful, even in XYZ a bank can always refuse a credit and is not obliged to warn a borrower of the risks he incurs.

Pay attention to the revisable rates for bank financing real estate . If the variable capital of an XYZ can be interesting to bring new partners, it is not necessarily interesting (especially in 2018) to contract a variable rate loan.

It is then that the partners are insured. As such, and as for any bank loan, there is a borrower insurance and the bank can therefore cover them differently depending on income earned.

The main thing is to ensure a 100% loan, the negotiation of the borrower insurance is always possible in other cases!

The advantage of the transfer of ownership and debts in XYZ

For the rest, this advantage is well known in the field of property transmission that constitutes the XYZ. Ultimately, a real estate company offers a real asset advantage because it can be given partly in the form of a donation of shares in a more flexible way than a classic property that will be in joint ownership.

This procedure over time makes it possible to benefit from the allowances available in French law for donations made during the lifetime of the donor, a clever way of avoiding or reducing the inherently expensive inheritance tax.

It is the shares of XYZ that are transmitted and not the real estate. The same is true of debts.

Get help from a professional in this case, even if you theoretically do not need a notary, the valuation of shares will be more reliable through him, especially to avoid tax disguised donations .

Low Taeg Loans 3 Tips for Getting Online Financing!

Low taeg loans

Low Taeg Loans: Save now, it’s easy!

New options for Low Taeg Loans now available ! That’s right! Thanks to Financemm, your projects will be more profitable thanks to loans in Taeg low.

It presents an important opportunity to exploit if you are looking for liquidity for your projects (moving house, new car, first house). Contact us to access a Low Taeg Loan.

Are you interested in a free consultation without obligation? Fill in the contact form that you find on our site and within a few moments you will be contacted by one of our experts. Our consultants, upon receipt of your request, will contact you to offer you a financing quote with Taeg that is more convenient.

In case you like the proposed solution, then you will agree an appointment, also wanting to your home. The network of our collaborators is present throughout the national territory; so that you live in Milan, Naples, Salerno, Verona, Vicenza, Bologna, Palermo, Rome or Messina, contact us!

Do you have a doubt? Write us a comment. You can do it for free using the space at the bottom of this page. We will soon answer your question.

Now let’s see some in-depth analysis related to this topic.

What is Taeg and what does it include?

What is Taeg and what does it include?

Here is the explanation of what is the Taeg. This is the global annual percentage rate also known as ISC (synthetic cost index). Expresses as a percentage all costs related to a loan, loan or loan.

The taeg includes everything that constitutes the calculation of the interest applied to a loan then the tan (cost of money), the costs of preliminary investigation, the stamps, any commissions applied to the distribution network, insurance costs (if a policy is provided), installment costs.

Once you know this, you can determine the convenience of a loan. It is important to highlight that every quarter Banca Italia publishes the new thresholds on the maximum applicable interest rates. Every loan, loan or mortgage contract must not exceed these thresholds, otherwise the contract will be null and void.

Low Taeg Loans Why choose Financemm?

Low Taeg Loans Why choose Financemm?

You will have asked yourself why choose us? The answer lies in 15 years of experience in the field of credit mediation! Experience that has allowed us to meet the needs of our customers, with different loan solutions, throughout the national territory.

If you ask us for a quote, you can save money twice: you could access one of the lowest loans with a lower taeg.

That’s right! For the first 100 customers who send us the contact request, we have the best loan taeg available ! This is a limited offer!

Lower taeg financing How to do?

Lower taeg financing How to do?

To save money by getting a Low Taeg Loan you only need a few clicks from the comfort of your home!

Exactly. Click on the quotation and the page will open to formalize the request: enter your data (will be treated in the maximum respect of the law on privacy) that will serve to propose the loan solution that best suits your characteristics.

Within a few minutes of sending the request one of our experts will contact you by phone and will point out in a completely free way the directions with which you can benefit from this advantageous financing.

Important Notice! The request is totally free and without obligation: it will not involve any expense but above all makes you free from any commitment. Credit data will not be reported to banks as Crif.

Low rate loans, who can request them?

Do you have the appropriate features that allow you to apply for the loan? Let’s see it now!

In addition to the value of the installment, the total cost of the entire loan (including the necessary expenses) must also be assessed to find your Taeg Low Loans. Only considering the Taeg is it possible to understand the convenience of our Low Taeg Loan.

It is important to verify that the rate proposed by the lending institution is not only a rate provided only for the first installments but is a valid Taeg for the duration of the loan. This is called a full rate.

The Loans solution in Taeg Basso includes the sum of the initial rate together with the necessary expenses. Check all this by asking us for a free quote without obligation.

Not only! The rate proposed by Financemm is placed at the best conditions on the market and you can choose the loan installment to be repaid and its duration.

Other advantages! By choosing Financemm you will have guaranteed insurance cover in case of death or loss of employment in an involuntary manner.

If you want to pay off the Taeg Low Loans you can also do it in a period of 24, 36, 48, 60, 72, 84, 96, 108 and finally 120 months. The installment already includes all expenses and in any case can never exceed one fifth of your salary, can only be minor.

With regard to the provision of low rate loans can be made by bank transfer or, if not in possession, by check. All this is allowed by the transfer of the fifth, which also allows you to renegotiate the loan early, thus recovering all the interests that have not been accrued. The assignment of the fifth can be requested by employees with permanent contracts and pensioners.

For more information on the sale of the fifth lowest taeg on the market proposed by Financemm visit the page dedicated to the sale of the fifth.

How to calculate the taeg?

The Taeg calculation system is based on a very precise formula. If you are wondering how to calculate the loan taeg, here you will find the possibility to download, for free, an excel file. By entering the data in the file, the computer will automatically give you an example by which you can check the annual percentage rate applied to your financing.